The Constraint at Angstadt Inc

Essay

The constraint at Angstadt Inc. is a key raw material. A total of 9,700 ounces of this constrained resource are available. Data concerning the company's two products, B03 and P22, appear below:
Each unit of product B03 requires 6 ounces of the constrained raw material; each unit of product P22 requires 2 ounces.
Required:
a. In the present circumstances, which product is most profitable?
b. How much of each product should be produced?
c. The company is considering launching a new product whose variable cost is $158 and that requires 14 ounces of the constrained resource. What is the minimum acceptable selling price for the new product?